CUPERTINO, California -- The only thing Apple left out is the popcorn.
Predicting digital video will be "the next big thing," for desktop computing, Apple's interim CEO unveiled three new lines of video-friendly iMacs on Tuesday.
Before a packed and adoring house at the Flint Center in Cupertino, where he introduced the original Macintosh in 1984, Jobs trotted out the new iMacs, saying they have the potential to revolutionize video the way the Macintosh revolutionized desktop publishing more than a decade ago.
"I've seen a lot of products but I think I'm more in love with this product than any other product since the original Macintosh," Jobs gushed.
The iMac now comes in three versions: a basic version, priced at under US$1,000, updated to be bigger and faster but available in only one color; the iMac DV, capable of playing DVD disks; and the iMac DV Special Edition, an ultra-sleek graphite box for editing digital video.
All the machines -- from the basic on up -- have faster processors, bigger hard drives, and more memory. They also sport enhanced ATI Rage 128 3-D graphics systems and Harmon Kardon-designed audio speakers, which Jobs said are the best on the market.
"We are so far ahead of anyone else in the consumer desktop space, it's not even funny," Jobs said with characteristic modesty.
The standard iMac has been tweaked to add more storage and speed, even as its price dropped to $999. The processor has been upgraded from 333-MHz to 350, and the base memory has been doubled to 64 megabytes. One of the biggest changes is the "slot-loading" CD-ROM drive that replaces a tray-loading version. The standard iMac is only available in blueberry.
"No more fingerprints on the laser lens," Jobs said. "No more pieces of toast in your drive."
Customers who sign up with CompuServe as their ISP can get the box for $599, which drew a hearty cheer from the crowd.
For digital video enthusiasts, the iMac DV and DV Special Edition feature a slot-loaded DVD drive, and include a new drag-and-drop video editing application called iMovie. As Jobs demonstrated, iMovie can be used to edit footage, add special effects and a soundtrack before it is output to video tape or compressed for posting to the Web.
"Imagine the Steven Spielbergs getting to use this technology when they are kids," he added.
Video is imported from digital camcorders through two built-in Firewire ports. The new iMac DVs include 64 MB of RAM, and come in the same five fruity flavors as previous iMacs. They go for $1,299, the price of the original iMac.
Like the iMac DV, the Special Edition has a 400 Mhz G3 chip and 128 MB of RAM, and sports an ultra-sleek transparent graphite shell.
"iMovie is going to be the killer package for Christmas, I really think that." said Lou Mazzucchelli, an analyst with Gerard Klauer Mattison & Co. of New York. Mazzucchelli agreed that the video editing features could shake things up. "Every wedding videographer in the country's going to want one."
Perhaps most significantly, all the new iMacs have redesigned transparent cases, allowing you to see right through the computer. In the original iMac, the view through the case was obscured by the machine's internal metal casing.
"Take a look," Jobs said. "You can see my hand all the way through there. Isn't that beautiful?"
None of the iMacs have a cooling fan, which makes them very, very quiet, Jobs said.
Apple also added support for Airport, its wireless networking hardware, which allows users to connect to a base station up to 150 feet away.
Jobs also introduced an updated version of the Macintosh operating system -- MacOS 9 -- which he claims has 50 new features, including an improved Internet search engine, Sherlock 2; a voice activated security system; the ability to update itself over the Net; and improved networking.
Complementing the iMac's new speaker system, Jobs showed a Harmon Kardon sub-woofer. The $99 base speaker plugs into one of the iMac's USB ports. Designed by Apple, it resembles a glass bell jar. Jobs said the iMac can detect its presence and automatically re-adjust the speaker levels to compensate.
Apple claims to have sold more than 2 million of the transparent iMacs since they first shipped in August 1998. Apple will release its earnings on 13 October, and the company issued a warning that profits would be below analyst expectations due to a shortages of chips from Motorola for its Power Mac G4 systems.
Apple has been on a roll this summer with the introduction of the portable version of the iMac -- the iBook -- in July, and the PowerMac G4s in August. Apple's stock finished up 3-5/16 Tuesday, closing at 67-7/8.